DOJ: Gulf coast physician faces False Claims Act lawsuit in alleged Medicare fraud

• The complaint claims non-physician staff used inexpensive electro-acupuncture devices instead of performing the billed surgeries.
• Neret allegedly used these procedures to justify prescribing narcotics for pain management.

A False Claims Act lawsuit has been filed against Dr. Michael Neret, who owns and manages Neret MD Medical Clinic, for allegedly billing Medicare for surgeries that were not performed. The DOJ claims that instead of surgical neurostimulator electrode implantations, non-physician staff used electro-acupuncture devices during brief, in-office sessions.

The complaint further alleges that Dr. Neret knew these devices were non-billable and used the procedures to justify narcotics prescriptions. The Department of Health and Human Services Office of Inspector General assisted in the investigation, and Assistant U.S. Attorneys Laura E. Collins and Michelle Luong are handling the case.

• nearly $500,000 alleged fraudulent Medicare billings

• Review all Medicare claims for surgical neurostimulator electrode implantations at Neret MD Medical Clinic for evidence of actual surgeries.
• Scrutinize use of electro-acupuncture devices by non-physician practitioners and non-clinical staff at Neret MD Medical Clinic.
• Assess narcotics prescriptions issued by Dr. Michael Neret that were justified by non-billable procedures.

This case highlights the importance of verifying the legitimacy of billed procedures and the credentials of staff performing them, as fraudulent claims can expose institutions to significant legal and financial risks. Compliance officers must ensure that all Medicare claims are supported by proper documentation and that non-billable procedures are not used to justify controlled substance prescriptions. The involvement of the DOJ and HHS OIG underscores the heightened scrutiny on healthcare billing practices and the need for robust internal controls.